Mortgage Giant, Freddie Mac released this weeks Prime Mortgage Market Survey (PMMS) showing the average mortgage rates on a fixed rate tick down this week after two consecutive weeks of climbing.
The surveys reveals the following:
30-year fixed-rate mortgage (FRM) averaged 3.88% dropping from 3.91% last week, with an average 0.5 point for the week ending October 19, 2017 this shows a .03% decline from last week.
15-year FRM this week averaged 3.19% dropping from 3.21% with an average 0.5 point, showing a .02% drop from last week.
5/1-year ARM averaged 3.17% percent this week from 3.16% with an average 0.4 point, rising .01% from the week before.
The Federal Reserve has raised short term interest rates twice this year and is expected to raise them again in December.
The 10-year Treasury bond is linked closely to the mortgage rates and serve as an indicator of where the mortgage rates are going.
To calculate average mortgage rates, Freddie Mac surveys lenders across the country at the beginning of each week. The average doesn't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.